UPS Shares Climb 0.42% on 69th Trading Volume as Lingering Labor Tensions and Strategic Shifts Pose Risks

On August 14, 2025, United (UPS) traded with a volume of 1.11 billion shares, ranking 69th in market activity. The stock closed 0.42% higher, reflecting mixed sentiment amid ongoing labor tensions and operational adjustments.

United Parcel Service recently averted potential strikes in seven U.S. states by resolving disputes with the Teamsters union over contract grievances. Despite this temporary resolution, underlying tensions persist. The union alleges UPS has failed to meet obligations under the National Master Agreement, including insufficient delivery of air-conditioned vehicles and unmet commitments to create full-time jobs. Teamsters also criticize the company’s use of buyout packages to reduce labor costs and alleged violations of overtime rules. Union leaders have warned of renewed action if progress stalls.

UPS is restructuring its delivery network to align with reduced parcel volumes, particularly after agreeing to cut Amazon’s business by over 50% by 2026. CEO Carol Tome clarified Amazon was not UPS’s most profitable customer, signaling a strategic shift. However, analysts note the company’s 12.4X forward P/E ratio remains elevated compared to industrial peers, while earnings estimates for 2025–2026 have declined. The Zacks Investment Research ranks UPS with a “Sell” designation, citing underperformance and unresolved operational challenges.

The strategy of buying the top 500 stocks by daily trading volume and holding them for one day from 2022 to 2025 generated a compound annual growth rate of 6.98%. However, it faced a 15.59% maximum drawdown, with a significant downturn recorded in mid-2023. The approach showed steady long-term growth but underscores the risks inherent in high-volume trading strategies.